The US and Mexico-based firm wants to bring affordable smartphone payment plans to markets across Africa.
Allied Mobile will use PayJoy Checkout, a paperless finance system for customers without access to formal credit, and the patented PayJoy Lock which enables “pay-as-you-go” access to the phone.
Consumers will be able to access these smartphone payment plans in mobile retail stores operated by Allied Mobile in 38 countries, starting with initial pilot countries.
Allied Mobile is a cellular product distributor and third-party logistics provider for the mobile telecommunications industry in Africa. Founded in 2003, the company’s total addressable market covers 38 countries across the continent and a population of over 700 million.
Allied Mobile is funded by the Public Investment Corporation, South Africa’s and Africa’s biggest investment fund manager.
“We look forward to bringing PayJoy’s next-generation solution to Africa, and more importantly connecting the next billion. We feel Allied Mobile is a fantastic partner considering their expertise as a value-adding independent specialist distributor in mobile devices,” says Doug Ricket, CEO of PayJoy.
This partnership is significant as it solves fundamental barriers to mobile internet adoption in Africa.
Africa is the least developed region in the world for mobile connectivity and adoption. More than half the population in Africa are using mobile services, yet only a quarter are accessing the internet via mobile.
According to research by the GSMA, over 500 million people in Africa are within signal range of mobile data towers, but are held back from internet access due to the high cost of smartphones.
“We are excited to work with PayJoy to extend our value-added service to include smartphone payment plans. Allied Mobile has operations across the fast-growing Sub-Sahara telecommunications market and is ideally positioned to capture growing needs of consumers. Making smartphones more affordable through manageable payment plans is one such need,” says Jacqueline ColeCourtney, Allied Mobile Group CEO.
PayJoy was founded in 2015 in San Francisco with the mission of making smartphone technology and financial services affordable to everyone worldwide.
Its patented technology for locking smartphones and proprietary data science for underwriting customers enables people who lack credit to qualify for an instalment plan to purchase their first smartphone.
Today PayJoy offers finance to millions of customers in the US and Mexico, and is expanding throughout Latin America, Asia, and Africa in 2018.
PayJoy is funded with over $30 million of equity and debt from top fintech investors including Union Square Ventures.